1. What is e-Day?

e-Day - 19 September 2014 - is the date from which Government departments, local councils and other public sector bodies will stop sending or accepting cheques to and from businesses.

2. What payments are affected?

e-Day applies to Government to business (G2B), and business to Government (B2G) cheques only. It does not apply to personal cheques.

3. Is the NPP getting rid of cheques?

No. The intention is to reduce cheque usage in Ireland, particularly among businesses. However, personal cheques are not affected.

In DEASP, we will continue to accept and issue cheques in some instances:

Certain PRSI Refund payments will continue to be paid to businesses by cheque

Illness Benefit and Occupational Injury Benefit payments may be paid by cheque where no bank details can be obtained

Rare cases where payment can only be made by cheque

We will also continue to accept cheques where it is expedient and in the best interests of the exchequer to do so.

4. What will happen if a business can only write a cheque?

It is hoped that businesses, in conjunction with the relevant Government departments and agencies, will have migrated successfully away from cheques in advance of e-Day. Cheque volumes among business are already declining rapidly, and have fallen by almost one-quarter in the last two years alone.

5. Why does the NPP want to decrease the use of cheques?

Electronic payments such as transferring money through e-banking are far more efficient and economic than cheques. It is estimated that every cheque written costs around €3.55 (spread between the issuer, recipient and bank). That doesn’t include the cost associated with the time spent going to the bank to lodge cheques, parking and queuing in the branch.

6. Why are cheques seen as an inefficient form of payment?

Cheques need to be printed, go through several stages of transportation and require a degree of manual processing. Cheques pose a particular cash flow difficulty for small businesses because of their role in late payments – the ‘cheque in the post’ culture.

7. Have businesses been consulted in the lead-up to e-Day?

Yes. A Cheque Working Group run by the National Payments Plan programme office has been in operation in the Central Bank for over a year. This Working Group included, amongst others, Chambers Ireland, ISME and the Small Firms Association.

8. Does e-Day affect consumer cheques?

No. However Government departments, local authorities and State agencies are encouraged to provide electronic options for all payments received from consumers. This would further promote the use of non‐paper based payment systems across the economy.